Havana, a city long associated with its vintage American cars and Soviet-era Ladas, is seeing an unexpected influx of high-end modern vehicles. In recent months, sleek new cars such as Teslas, Mercedes, and state-of-the-art 4x4s have been spotted on the streets, even as Cuba grapples with an economic crisis that leaves many citizens struggling to afford basic transportation.
The arrival of these modern cars comes after the Cuban government eased restrictions on vehicle imports in 2023. This move followed the authorization of private companies in 2021, which allowed for the importation of foreign vehicles previously subjected to steep taxes. Julio Alvarez, a local business owner, recently added a Chinese-made SUV to his fleet, which includes several vintage Chevrolets, illustrating the blending of old and new in the city’s evolving car culture.
Cuba’s vehicle imports from the United States alone reached $35 million in the first half of 2024, a significant increase from previous years. This trend is expected to grow further with the introduction of a new law set to reduce taxes on car imports later this year. Currently, Cubans face prohibitive costs, with a car worth $10,000 being taxed up to $50,000. The new legislation will reduce this cost to around $15,900, although that figure remains well beyond the means of most Cubans, who earn an average monthly salary of $42.
While these changes have brought an influx of SUVs, 4x4s, and trucks from countries like Japan, South Korea, and China, the high prices continue to make car ownership unattainable for many. “It’s a lot of money,” said 48-year-old Cesar Milera, a driver who works for someone else, reflecting the broader sentiment that most Cubans can only dream of owning a car.
Cuba’s rich automotive history stems from its heavy imports of American cars in the early 20th century, but economic sanctions imposed in 1962 halted the flow of new vehicles. Today, tourists flock to Havana for the chance to ride in these classic cars, which have become a key part of the nation’s cultural heritage.
As Cuba’s car market opens up, the government has hinted at regulating the type and number of cars individuals can import, reflecting a desire to maintain the country’s egalitarian image.
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